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Financing Options

Equipment Loans

This option works best for the customer who needs financing for working capital, debt consolidation, sale lease-backs or other business purposes.
 
Benefits: 
  • You may obtain cash for equity in your Cat equipment.
  • Monthly, quarterly, semi-annual, annual and variable payment schedules are available at fixed rates. Floating rates may also be considered.
  • A line of credit may be established so that you can obtain loans as the need arises.
Terms: 
  • Length: 3-5 years
  • Finance Rate: Generally Fixed (floating rates may be considered)
  • Payment Flexibility: Monthly, quarterly, semi-annually, annual, and variable payments
  • Collateral: Required
 

Installment Sale Contract

For the customer who desires immediate equipment ownership yet wants to pay for the machine over an extended period of time. Trade-ins or down payments are typically included in these transactions.

 
Benefits: 
  • You may claim the tax benefits of ownership - including depreciation and interest expense deductions.
  • New and used equipment may be financed.
  • The installment sale contract is our lowest total cost option for machine ownership.
Terms: 
  • Length (new equipment): 1-5 years
  • Length (used equipment): 1-4 years
  • Finance Rate: Generally fixed (floating rates may be considered)
  • Down Payment or Trade in: Generally required
  • Tax Benefits: Retained by customer
  • Payment Flexibility: Monthly, quarterly, semiannual, annual, seasonal, skip and accelerated payments.
 

Finance Lease

For the customer who wants to own or have the option to own the equipment under lease. 100% financing is available.

 
Benefits: 
  • 100% financing for qualified customers.
  • Payments tailored to meet your cash flow needs.
  • For tax purposes, in most cases you claim the benefits of ownership, including depreciation and interest expense deductions.
  • Flexible purchase options available.
Terms: 
  • Length (new equipment): 1-7 years
  • Length (used equipment): 1-5 years
  • Payment Flexibility: Monthly, quarterly, semiannual, annual, seasonal, skip and accelerated payments.
 

Governmental Lease/Purchase Plan

For qualified non-federal governmental agencies who desire special low interest rates and flexible finance terms. Please note that you may need voter approval as you would with local bond insurance.

 
Benefits: 
  • Because the income that we receive is tax-exempt, NMC can pass these savings onto you through special low interest rates. In fact, the interest charge you pay is normally less than the total cost of issuing a bond.
  • 100% financing is available
  • Your contract may be cancelled without penalty (on the last day of the appropriations period) if funding is not approved for the following year.
Terms: 
  • Length (new equipment): 1-7 years
  • Length (used equipment): 1-5 years
  • Payment Flexibility: Monthly, quarterly, semiannual, annual and variable payment plans
  • Non-appropriations clause: May return equipment due to non-appropriation of funds.
  • 100% Financing: Available for qualified customers.
 

Long-Term Rental

For the customer who desires the lowest possible payments and generally plans to return the equipment to us at the end of the lease term.

 
Benefits: 
  • Generally qualifies for off-balance sheet financing
  • Provides your with the lowest possible monthly payment
  • Frees your working capital for operating needs.
Terms: 
  • Length: 3-7 years
  • Payments: Generally monthly, although other schedules may be considered
  • Possible Purchase Option: Fair market value (FMV) purchase option may be included in contract
  • Tax Benefits: Claimed by finance company
 

Value Option Lease

For the customer who wants to use the equipment and have the option to purchase it at a predetermined price.

 
Benefits: 
  • Provides you with low monthly payments.
  • Generally qualifies for off-balance sheet financing.
  • Frees your working capital for operating needs.
Terms: 
  • Length: 3-7 years
  • Payments: Generally monthly, although other schedules may be considered.
  • Possible Purchase Option: Predetermined.
  • Tax Benefits: Claimed by finance company.